Discussing Social Security Claiming Strategies With Clients
If clients want to delay receiving Social Security benefits but still need income, a registered index-linked annuity with an optional income rider may be one way to bridge the gap.
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A key consideration for clients approaching retirement is deciding when to claim Social Security benefits. Clients born in 1960 or later can receive nearly a 25% higher benefit by waiting to claim until age 70 (compared to age 67, which is considered full retirement age).1 If clients want to start claiming benefits earlier than age 67, their benefits amount might be up to 30% less than what they would receive at age 67.2 In this video, Kevin Russ, Director of the Advanced Markets Group at Brighthouse Financial, discusses how a registered index-linked annuity (RILA) with an optional income rider could be used by clients who want to maximize their Social Security benefits but retire before age 70 and need cash to cover the gap.
1 If you were born between 1960 your full retirement age is 67. Social Security Administration, as of June 2024.
2 Starting Your Retirement Benefits Early. Social Security Administration, as of June 2024.
This material is for general informational purposes only, does not purport to be complete or cover every situation, and should not be construed as legal, tax, accounting, investment, or fiduciary advice. Brighthouse Financial and its affiliates did not consider any individual’s circumstances in preparing this information. Clients should confer with their tax, legal, and accounting professionals in addition to consulting with a financial professional.
Annuities are issued by, and product guarantees are solely the responsibility of, Brighthouse Life Insurance Company, Charlotte, NC 28277 and, in New York only, by Brighthouse Life Insurance Company of NY, New York, NY 10017 (“Brighthouse Financial”). Variable products are distributed by Brighthouse Securities, LLC (member FINRA). All are Brighthouse Financial affiliated companies. Annuities are long-term investments designed for retirement purposes. The contract prospectuses and contracts contain information about each contract’s features, risks, charges, expenses, exclusions, limitations, termination provisions, and terms for keeping the contract in force. Prospectuses and complete details about each contract are available from a financial professional and should be read carefully. Product availability and features may vary by state or firm.